The state’s milk producers plan to continue pressuring the Australian Competition and Consumer Commission (ACCC) for the right to create a milk price negotiating group.
Seventy of the dairy industry’s 280 producers resolved to continue the campaign at a special meeting in Boyanup.
The ACCC decided last month not to grant an interim authorisation to form a Milk Negotiating Agency until Dairy WA provides more details about the way it expects the proposed agency will function.
“The ACCC considers that the complex arrangements proposed by Dairy WA require careful, detailed consideration to assess the public benefits and anti-competitive detriments that may follow,” ACCC chairman Graeme Samuel said.
“While the ACCC has considered a number of collective bargaining arrangements in the past, the arrangements proposed by Dairy WA are very different and must be closely examined.
“While the arrangements were put before the ACCC for its consideration in March, Dairy WA is still in the process of developing and finalising the operational activities of the proposed agency and many aspects of its activities are yet to be approved by the farmers Dairy WA represents.”
WAFarmers dairy section president Tony Pratico said the ACCC should consider the case put forward for the MNA and not just seek a ‘one size fits all’ approach.
“The dairy farmers in WA don’t have the same access to processors as our eastern states counterparts, and with current milk prices paid not covering production costs, the haemorrhaging of the industry can be staunched by offering an alternative avenue for farmers to get a better price,” he said.
“Further delays will continue to have a negative effect on farming families and place the industry in jeopardy.”
The ACCC has requested further information from Dairy WA and also from other parties, including milk processors and consumers groups.
